General Information & Client Services
  • Americas: +1.212.553.1653
  • Asia: +852.3551.3077
  • China: +86.10.6319.6580
  • EMEA: +44.20.7772.5454
  • Japan: +81.3.5408.4100
Media Relations
  • New York: +1.212.553.0376
  • London: +44.20.7772.5456
  • Hong Kong: +852.3758.1350
  • Tokyo: +813.5408.4110
  • Sydney: +61.2.9270.8141
  • Mexico City: +001.888.779.5833
  • Buenos Aires: +0800.666.3506
  • São Paulo: +0800.891.2518
June 05, 2018

BoE published a report on the evaluation of its resolution arrangements by the Independent Evaluation Office (IEO). The report makes recommendations for establishing the roadmap to 2020, working together in structural separation, and preparing for executing a resolution. BoE also published its response to this evaluation.

The IEO concludes that the work of BoE with the industry means that firms are more resolvable now than they were during the crisis and costs of failure would increasingly be absorbed by investors, rather than taxpayers. However, much work remains to be done if the major UK banks are to be fully resolvable by 2022. The following are the highlights of the IEO recommendations:

  • Articulate how the institution as a whole will deliver on making the resolution framework operational
  • Review appropriateness of the Resolution Directorate skillset as its focus shifts from policy development to implementation
  • Consider whether the introduction of the gone-concern regime has been appropriately reflected in PRA supervisory strategy
  • With due regard to the legal framework, consider mechanisms to enable greater and timely information-sharing and cross-bank collaboration on resolution issues
  • Review governance arrangements for business-as-usual resolution matters
  • Formalize governance arrangements for heightened contingency planning
  • Set out a strategy internally on how the Bank would deal with a fast death of a firm
  • Review the skills needed for heightened contingency planning and agree on a framework for the rapid mobilization of resources
  • Agree on a comprehensive schedule of exercises to test the Bank’s operational preparedness for a resolution

In its response to the evaluation, BoE welcomed the IEO evaluation, which recognizes that the Bank has led the way internationally in developing the resolution policy framework and that the decision to prioritize policy development and communication have yielded clear benefits. BoE also welcomed the IEO’s endorsement of the Bank’s decision to make the implementation of the resolution framework one of a small number of strategic goals. The implementation of the IEO’s recommendations will support the Bank to deliver this demanding goal. The Court of BoE had commissioned the IEO to review the effectiveness of the resolution arrangements of BoE.

 

Related Links

Keywords: Europe, UK, Banking, Resolution Framework, Assessment of Implementation, Roadmap, BoE

Related Insights
News

US Agencies Propose Rule on Appraisals for Real Estate Transactions

US Agencies (FDIC, FED, and OCC) proposed a rule to increase the threshold level at or below which appraisals would not be required for the residential real estate transactions from USD 250,000 to USD 400,000. Comments will be accepted for 60 days from publication in the Federal Register.

December 07, 2018 WebPage Regulatory News
News

EBA Single Rulebook Q&A: First Update for December 2018

This week one answer was published as part of the Single Rulebook Questions and Answers (Q&A).

December 07, 2018 WebPage Regulatory News
News

FED Updates Reporting Form and Instructions for FR Y-14Q

FED published the updated reporting form FR Y-14Q for Capital Assessment and Stress Testing, along with the associated instructions.

December 06, 2018 WebPage Regulatory News
News

PRA Finalizes Policy on Minor Amendments to Regulatory Reporting

PRA published the policy statement PS30/18, which contains the final policy following a consultation (CP16/18) on certain amendments to regulatory reporting.

December 05, 2018 WebPage Regulatory News
News

GM of BIS Examines Regulatory Implications of Big Tech in Finance

Agustín Carstens, the General Manager (GM) of BIS, during the keynote address at the FT Banking Summit in London, spoke about new challenges and policy implications of big tech in finance.

December 05, 2018 WebPage Regulatory News
News

ACPR Publishes Version 2.8.1 of the CRD IV Taxonomy

ACPR notified that version 2.8.1 of the Capital Requirements Directive (CRD) IV Data Point Model taxonomy and version 2.1.0 of the Anti-Money Laundering and Terrorist Financing (LCB-FT) taxonomy have been made available.

December 04, 2018 WebPage Regulatory News
News

European Council Endorses Package on CRD 5, CRR 2, BRRD 2, and SRMR 2

European Council endorsed the agreement achieved between the presidency and the Parliament on the key measures of a comprehensive legislative package aimed at reducing risks in the banking sector in EU.

December 04, 2018 WebPage Regulatory News
News

BCBS Report Examines Cyber Resilience Practices Across Jurisdictions

BCBS published a report that identifies, describes, and compares the range of observed bank, regulatory, and supervisory cyber-resilience practices across jurisdictions.

December 04, 2018 WebPage Regulatory News
News

EIOPA Publishes Q&A on Regulations and Guidelines

EIOPA published new sets of questions and answers (Q&A) on guidelines, implementing regulations, and delegated regulations applicable to insurers in Europe.

December 03, 2018 WebPage Regulatory News
News

ESMA Registers A.M. Best (EU) Rating Services as Credit Rating Agency

ESMA, the direct supervisor of credit rating agencies (CRAs) in EU, has registered A.M. Best (EU) Rating Services B.V. as a CRA under the CRA Regulation, with effect from December 03, 2018.

December 03, 2018 WebPage Regulatory News
RESULTS 1 - 10 OF 2316